Top news video

The Fed also can control the money supply by specifying what reserves deposit-taking institutions must set aside either as currency in their vaults or as deposits at their regional Reserve Banks. Raising charter requirements forces banks to withhold a larger portion of their funds, thereby reducing the money supply, while lowering requirements works the different [...]

[Read more]

[Q:]I was wondering what constitutes a run on a bank and how does it work?
[A:]Thanks for your question! First a definition.

Definition of a Bank Run The Economics Glossary gives the following acutance for a bank melt:
"A bank run takes place when the customers of a bank fear that the bank will become [...]

[Read more]

Market Capitalization / Market Cap

Definition of Market Capitalization / Market Cap: The market capitalization is the total number of shares times the store price of each. May be said of a determined’s shares, or of all the shares on an equity market. (Econterms)

Terms related [...]

[Read more]

For a while, the system worked well. In the 1960s and 1970s, almost all Americans got S&L financing for buying their homes. Interest rates paid on deposits at S&Ls were kept low, but millions of Americans put their money in them because deposit insurance made them an extremely safe place to invest. Starting in the [...]

[Read more]

Question: What is Inflation?

Answer: To understand inflation, we first must understand what the word means. The Economics Glossary defines Inflation as: Inflation is an increase in the price of a basket of goods and services that is representative of the control as a whole. A similar clarification of inflation can be found in [...]

[Read more]

Definition: Inflation is an increase in the price of a basket of goods and services that is representative of the economy as a unhurt.
Terms correlated to Inflation:

About.Com Resources on Inflation:
Writing a Term Paper? Here are a few starting points for research on Inflation:
Books on Inflation:
Journal Articles on Inflation: [...]

[Read more]

Definition: Democracy is literally “rule by the people”. This is a dictionary definition and is not considered crafty enough for academic use. Schumpeter (1942) contrasts these two definitions below and regards only the faulty one as useful and plausible enough to work with:
“The eighteenth-century philosophy of democracy may be couched in the following definition: [...]

[Read more]

Impact of Globalisation on Developing Countries and India

Impact of Globalisation on Developing Countries and Indiaby Chandrasekaran Balakrishnan

Chandrasekaran Balakrishnan for The 2004 Moffatt Prize in Economics
Introduction:
Globalisation is the new buzzword that has come to have under one’s thumb the world since the nineties of the last [...]

[Read more]

There was a piece in my city’s morning news on how more government subsidized child care spaces will be created. From LondonTopic.ca: London-Middlesex will receive more than $650,000 in funding to help more families cover the cost of licensed child care. This funding when one pleases serve approximately 100 more children on an ongoing [...]

[Read more]

Definition: Seignorage is “The amount of heartfelt purchasing power that [a] government can extract from the unconcealed by printing money.” — Cukierman 1992
Explanation: When a government prints money, it is in essence borrowing interest-free since it receives goods in exchange for the money, and must accept the money in return only at some future time. [...]

[Read more]